The events of 2020 have shaken the very pillars of global supply chain and manufacturing organizations. The effects have been widespread and costly, but they have also revealed the need for us to revisit and rethink our approach to sourcing and procurement. While strategic sourcing has been a known method since the first 8-step model…
Disasters have a way of elevating procurement operations to saviors of the day, week or month. But once a crisis has passed, purchasing reverts back to its identity as a corporate cost center. Covid-19 could strengthen purchasing’s position as a corporate risk-management resource. The pandemic has raised the supply chain to a topic of national…
The combined challenges of the Covid-19 pandemic and the United States-China trade war have created somewhat of a perfect storm for electronics procurement specialists. As a supply shortage abounds, they must think ahead and respond promptly to avoid the worst effects. The trade war causes numerous knock-on effects The trade war between the United States…
Earlier this month, Renesas Electronics Corp. consolidated its distribution channel in Asia-Pacific, China and Taiwan. The semiconductor company terminated its relationship with global distributor WPI Group and added regional distributor WT Microelectronics. The move is notable as late last year World Peace Group (WPG), WPI’s parent, made a controversial bid to acquire a 30 percent…
A supply chain practice called design registration has dogged the electronics channel for decades. Distributors support their component suppliers by getting their parts designed in to an OEM end-product. In order to be compensated for that effort, distributors must “register” that design with the supplier. Once the OEM device reaches production, the distributor may receive…
Three electronics brands — Apple, FitBit and Tile—are among companies that plan to move some or all of their production out of China, according to Coresight Research. The trend isn’t new, but a recent survey found consumers are souring on Chinese-made goods. Among U.S. shoppers, 47.8 percent said American retailers should source fewer products from…
For the moment, at least, it seems as though the course of the Covid-19 contagion is winding down. Even where its spread seems to be contained, the prospect of a second wave is very much on the minds of both public officials and private business leaders. So how does an organization plan ahead and position…
The onset of the coronavirus epidemic has accelerated the supply chain digital transformation that has languished on businesses’ “to-do” list for years. Covid-19 has exposed barriers to collaboration that most companies tolerate under normal circumstances. It’s fair to say the electronics supply chain currently aspires to “normal.” Even before Covid-19 hit, 92 percent of companies…
The global pandemic and shift to remote work continues to make its impact around the world. According to the Institute for Supply Management®, 75 percent of companies report supply chain disruptions and more than 80 percent believe that their organization will experience impact because of COVID-19 disruptions. However, there are ways procurement teams can mitigate…
U.S. manufacturing activity improved in May after falling to its lowest level in 11 years. The Institute for Supply Management’s factory index, the PMI, increased 1.6 percent in May to 43.1 from a 41.5 reading the prior month. The industry is still in contraction – any number below 50 indicates activity is shrinking – but…